The New Deal

New Deal:

New deals's 3 steps-

-relief

-recovery

-reform

Before roosevelt came into presidency, he faced a banking crisis. Financial system was on verge of collapse.

What did Roosevelt do to keep americans on his side?

-abolished prohibition

-bank holidays until gov checked all banks

-controlled financial budget

-alphabet agencies: set up by FDR

6 New Deal Agencies

• civilian comservation corps

Tennessee valley authority

agricultural adjustment admin

emergency banking act

home owners loan corporation

national recovery act

CCC

Employed young men to do conservation work in countryside

TVA

Build 16 dams on rivers in and around the Tennessee Valley

AAA

Help farmers increase profits by growing more food

EBA

Government officials inspect accounts of every bank in country

HOLC

Helping home owners keep up with mortgage repayments-> loaning money with low interest

NRA

Persuading employers to pay workers fair wages and charge fair prices for goods

Second New Deal:

The SUPREME COURT deemed some alphabet agencies unconstitutional.

They thought this because they believed the Federal gov was interfering in issues which should be dealt with by the state.

Businessmen also thought it was bad as they said it was expensive and wasteful.

Second new deals:

1. National Labour Relations…